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Olivia wants to buy some vacant land for investment purposes. She cannot afford the full purchase price. Instead, Olivia pays the landowner $32,100 to obtain
Olivia wants to buy some vacant land for investment purposes. She cannot afford the full purchase price. Instead, Olivia pays the landowner $32,100 to obtain an option to buy the land for $642,000 anytime in the next four years. Fourteen months after purchasing the option, Olivia sells the option for $40,125. What is the amount and character of Olivia's gain or loss?
She has a long-term capital gain of $...................fill in the blank 2.
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